UN Capital Development Fund – UPSC Prelims

  • It was established by the United Nations General Assembly(UNGA) in 1966.
  • Mandate: To provide microfinance access to Least Developed Countries (LDCs) to unlock the full potential of public and private finance in these countries.
  • Funding: UNCDF is an autonomous, voluntarily funded UN organization affiliated with UNDP. Its funding comes from UN member states, foundations, and the private sector.
  • Headquarters: New York, United States.
  • Financing Model: UNCDF’s financing models work through two channels:
  • Financial Inclusion: It expands the opportunities for individuals, households, and small businesses to participate in the local economy. Moreover, it provides them with the tools to climb out of poverty and manage their financial lives.
  • Localised Investments: It shows how fiscal decentralization, innovative municipal finance, and structured project finance can drive public and private funding that underpins local economic expansion and sustainable development.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top